The Tories seized on the government's announcement of a second massive bail-out of the banks in an attempt to unblock the flow of credit as evidence that the first had failed. The shadow chancellor, George Osborne, said the cost of the fresh initiative was unknown and the details remained a "mystery". Osborne said: "The prime minister has finally been forced to confront the truth. He hasn't saved the world. He certainly hasn't saved this economy and he hasn't even saved the British banks yet."

The chancellor, Alistair Darling, insisted the new measures to support the banks would remove "uncertainty" and accelerate the resumption of lending. He urged other countries to follow Britain's lead on lending and stressed the need for stronger international collaboration. Darling warned: "We cannot risk a damaging worldwide spiral of weakened confidence and national-only policy solutions."

Gaza

The foreign secretary, David Miliband, called for Israeli forces to withdraw from Gaza "with all due speed" and for Hamas to put a "definitive end" to rocket attacks in order to strengthen the ceasefires announced at the weekend.

Miliband said the ceasefires were an "essential first step" but had come "too late for too many". He also warned that the conflict had been used to whip up extremist hatred and anti-Semitism around the world, including the UK.

The foreign secretary said the immediate priority was to meet the "desperate humanitarian need" in Gaza and repair the ruined infrastructure, with the re-opening of border crossings a "vital" step. He vowed to work with Barack Obama's administration as part of an international effort to secure lasting Middle East peace.

The government is donating £1m to the World Food Programme to help deliver aid in Gaza, the international development secretary, Douglas Alexander, announced. This forms part of a £27m package pledged to Gaza since the start of the crisis, he told MPs.

Binge drinking

The home secretary, Jacqui Smith, promised a new code of practice to tackle binge drinking as she hit out at "all you can drink" offers. She said there had been too many cases where the drinks industry's voluntary code had not worked. But she faced backbench warnings about the risk of further controls driving even more pubs out of business.

In second reading debate on the policing and crime bill, Smith said many responsible people in the sector had been "wholly supportive" of ministers' efforts to combat alcohol misuse.

Ken Clarke

Former chancellor Kenneth Clarke made his return to the Tory frontbench amid Commons cheers. He smiled to Conservative backbenchers as he sat down ahead of Darling's statement. And he immediately received a barbed welcome from the Olympics minister, Tessa Jowell, who told MPs his return was needed to rescue the "floundering" Tory leadership.

Sale of British Energy

The sale of nuclear power firm British Energy raised almost £4.5bn for the fund set up to pay for decommissioning plants at the end of their active lives, energy and climate change minister Mike O'Brien said. He told MPs the takeover of British Energy by French power giant EDF had raised £4.42bn for the nuclear liabilities fund.

Culture department reception for business leaders

The culture secretary, Andy Burnham, defended his department over allegations it squandered taxpayers' money on a lavish reception for business leaders. Around 20 people, including Channel 4 chief executive Andy Duncan and the Condé Nast managing director, Nicholas Coleridge, were on the guest list for a £62,000 dinner party sponsored by the department. Burnham said the event was the launch of an international group "to promote Britain as the natural home of the creative industries".

Heritage protection bill

Ministers came under fire over delays in introducing measures to reform legislation protecting stately homes and historic monuments. There was anger that the heritage protection bill was absent from the list of measures included in the Queen's speech. Culture minister Barbara Follett said she shared the disappointment of the heritage lobby but added there were "other priorities" for government in these "difficult and trying times".

DCMS spending on pot plants

More than £10,000 was spent on pot plants by the culture department between April and December last year, Sport minister Gerry Sutcliffe revealed.